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UP FRONT..........................................................
Airlines Post More Losses for Latest Quarter
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Over the next 2 weeks, the airlines will be reporting their financial results for the 4th quarter and the full year.
Among those reporting early, American posted a $387 million loss in the fourth quarter of 2004, up from a loss of $111 million during the same period in 2003. Northwest lost $420 million in the quarter and $878 million for the year.
Southwest continued its long-running stretch of profitable quarters, but its $55 million 4th-quarter earnings were off $10 million from the final quarter of 2003.
All carriers cited high fuel prices and fierce fare competition.
We'll include a full wrap-up when all the results are in.
Bankruptcy Watch
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Last week, a federal bankruptcy judge signed off on an agreement between US Airways and the Air Transportation Stabilization Board that gives the airline access to a federally guaranteed loan through June 30. According to US Air chief Bruce Lakefield: "Our customers should book us with confidence, knowing that we have sufficient cash to operate."
US Airways is hardly out of the woods. Among other upcoming hurdles: US Airways' machinists could turn down management's latest contract proposal, and subject the carrier to a potentially crippling walkout.
United on Tuesday reached a tentative agreement with its pilots union which, if approved by union members, would help United in its quest to shave $725 million off its annual expenses. That's in addition to the $2.5 billion in cost reductions already achieved.
ON SITE...........................................................
FrequentFlier Forum Topics
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As always, there's plenty of activity on the FrequentFlier Forum.
In the "Airline Programs" Forum, Travlynn has a link to Northwest's refer-a-friend promotion.
Also in the "Airline Programs" Forum, Homer provides details of United's new "Elite" prepaid travel card, together with a cogent analysis of the new product.
In the "Hotel Programs" Forum, jpmom2boys poses the following question: "We have lots of Marriott Rewards points and were thinking about redeeming them for a Holland America cruise. What was your experience???"
And much more... Questions, answers? Post them to the Forum!
-> More: http://frequentflier.com/forums/index.php
MILES & POINTS....................................................
Alaska Suspends Blackout Dates
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Effective Jan. 19, Alaska Airlines and Horizon Air have eliminated blackout dates for Mileage Plan Saver awards for 2005 and 2006. Previously published blackout dates for 2005 no longer apply.
More: http://www.alaskaair.com/
American Matches BA Offer
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Matching a similar offer from British Airways reported in last week's Crier, American Airlines is offering AAdvantage members traveling in business and first class on U.S.-London flights through Apr. 30 a 42,000-mile bonus.
As with BA's offer, the bonus together with flight miles add up to more than 50,000 miles, enough for 2 free roundtrip economy-class tickets in the U.S.
Register online at http://www.aa.com/offers, promotion code LONAA, or call AAdvantage Dial-In at 1-800-882-8880.
ANA and Qatar Link Programs
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ANA (All Nippon Airways) and Qatar Airways have linked their frequent flyer programs, allowing members of Qatar Airways' Privilege Club and ANA Mileage Club to earn and redeem miles in each other's programs.
The tie-up is part of a more comprehensive marketing relationship between the 2 carriers, which will soon include code-sharing.
ATA, Southwest Won't Link Programs... "For Now"
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In the wake of ATA's bankruptcy filing and subsequent bail-out by Southwest, there has been speculation that the soon-to-be-implemented code-sharing between the 2 carriers would be augmented by reciprocal frequent flyer program participation.
In the world of mainline airlines, mileage program tie-ups are routinely bundled with other marketing and operational cooperation. But low-fare airlines have tended to operate single-carrier programs, at least in part to avoid the costs associated with managing extensive partner networks. So the prospect of an ATA-Southwest link is intriguing.
According to (coy) Southwest: "For now, Southwest Airlines Rapid Rewards and ATA Travel Awards remain independent frequent flyer programs."
Hertz Offers Bonus Points, Revamps Awards
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Through Apr. 30, members of the Hertz #1 Awards program will receive an additional 300 #1 Awards Points when renting at Weekday rates, and an additional 150 Points for Weekend rates. Bonus is valid on any car class and available with Hertz Standard or Leisure Weekly or Weekend rates.
Cite promotion code 961041 for the Weekday bonus or 961030 for the Weekend bonus.
More: http://offers.hertzgold.com/offer.aspx?offerid=89
Separately, Hertz has lowered award thresholds and increased the scope of awards to include more car classes. Details are on the Hertz website.
More: http://offers.hertzgold.com/offer.aspx?offerid=88
Triple Miles for Le Meridien Stays
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Members of the programs of Air France, American, Alitalia, Continental, Delta, Emirates, Gulf Air, Lufthansa, Qantas, South Africa Airways, Thai and Virgin Atlantic who stay 2 consecutive nights or longer at participating Le Meridien hotels between Jan. 1 and Mar. 31 will earn triple miles.
Registration is required.
More: http://www.lemeridien.com/bonusmiles
Midwest Offers Miles-for-Mutts
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With Midwest's newly launched Premier Pet Program, pets earn a free roundtrip after every 3 paid roundtrips (or 6 1-way trips) flown with their owners. And owners who are Midwest Miles members can earn a free roundtrip for their pets by redeeming 15,000 Midwest Miles.
(In this case, traveling together means flying on the same plane. Except for guide dogs, pets are not allowed to travel in the passenger cabin.)
More: http://www.midwestairlines.com/MAWeb/midwestMiles/pet.aspx
Northwest Discounts Awards
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Through Feb. 27, WorldPerks members can redeem their miles for coach-class award travel to, from, or through Indianapolis for 20,000 miles instead of the 25,000 miles normally required. First-class awards are also reduced, from 45,000 to 40,000 miles.
Award booking and ticketing must be completed by Feb. 20.
More: http://www.nwa.com/features/wpind/
Southwest Doubles Credits
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Through Mar. 31, members of Southwest's Rapid Rewards program will earn double credits for roundtrip flights to/from Baltimore or Chicago Midway. Bonus only applies to flights purchased through Southwest's website.
More: http://southwest.com/rapid_rewards/rr_promotions.html#bwi
Credit Card Miles Earn United Elite Status
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Through Dec. 31, 2005, Mileage Plus members who use their Mileage Plus Visa credit card to charge airline tickets on united.com will earn double base miles. Plus, they will earn 1 elite-qualifying mile for every dollar charged on united.com for tickets, up to 5,000 elite-qualifying miles.
The offer is valid for all Mileage Plus cards, including the Signature Visa Card, Signature Gold Class Visa Card, Platinum Business Card and Mileage Plus Debit Card.
More: http://united.com/visa/elite
US Airways Offers England Bonus
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Through Mar. 1, Dividend Miles members flying US Airways roundtrip between the U.S. and Gatwick or Manchester will earn 7,500 bonus miles when traveling in coach and 15,000 bonus miles when traveling in Envoy Class.
Registration is required.
More: http://www.usairways.com/dividendmiles/6784.htm
STEALS & DEALS....................................................
Deal Alert from SmarterTravel.com
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1) Europe Sale Fares on Northwest from $308
If you're planning a winter trip to Europe, check Northwest's sale before you book. Prices start at $308 roundtrip, and destinations include London, Paris, and Vienna.
Travel on most routes is valid on Mondays through Thursdays through Mar. 13. Travel to the UK is valid on Mondays through Wednesdays. Book tickets at least 21 days in advance, and by Feb. 1. Fares require a Saturday-night stay, and the maximum stay is 30 days.
More: http://www.smartertravel.com/air/deal.php?id=8174
2) Europe Consolidator Fares from $187
If you're in the market for a cheap flight to Europe (and you're sure your dates won't change after you book), consider winter sale fares from consolidator 1-800-Fly-Europe. Prices start at $187 roundtrip, and destinations include Amsterdam, Brussels, London, and Paris.
Departures are valid through Mar. 17. Tickets must be booked by Jan. 30. Travel at the lowest prices is valid midweek.
More: http://www.smartertravel.com/air/deal.php?id=7678
SWEEPS & FREEBIES.................................................
Win a Trip to Hawaii
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Sign up to receive travel deals from Club 101 to be entered into a drawing for a 5-day trip for 2 to Hawaii.
More: http://hawaii.101thingstodo.com/members/signup2.php
[Visit http://frequentflier.com/sweeps.htm for more travel sweepstakes.]
READER RANTS & RAVES..............................................
Feedback from the Frontlines of Travel
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"Re: Continental's qualifying for elite status. I booked all my Continental travel on the web and got full credit for elite qualification, even on all discounted fares, as long as I flew on Continental metal. On partner air lines I would have been lucky to get even half. But then, Continental is always my first choice of airlines. They seem much happier to have passengers than the other majors I have flown in previous years." (Barry)
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"I had a similar experience when BA lost all three of my bags on a weeks holiday to Madeira - we got the bags 48 hours later (one of the bags damaged) - it took me 6 months and lots of hassle to collect the cost of the new clothes and the damaged bag - but they did eventually pay up - so persist." (Russell)
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"Back in October 2004 (cognizant of US Airways possible demise come January 2005), I successfully redeemed 50,000 US Airways miles fairly easily for two roundtrip tickets for travel from BWI to ANC come May 2005. I recently called United to get the UA record locator should I need it come May.
"The real reason I decided to write was that I wanted to let you know about the way I have to "babysit" the various frequent flyer, frequent hotel stay and frequent driver programs that I belong to like Hilton Honors, Marriott Rewards, InterContinental Hotels Priority Club, Radisson Gold Rewards, Starwood Preferred Guest, Budget Perfect Drive, US Airways Dividend Miles, United Mileage Plus, SouthWest Rapid Rewards and NorthWest WorldPerks.
"It just never ceases to amaze me the number of times that these various loyalty programs don't get it right in the number of points they should be crediting to my respective accounts. Some programs are much worse than others and none of them have ever credited me with more points than I should have received... it's always been less points than I should have received!
"Was wondering if this might trigger your interest in doing a story about these under-achieving Frequent Flyer/Hotel Stay/Driver program(s)?" (Mark)
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"I am a frequent international flier and have been a United Mileage Plus Member for longer than I care to remember. Here is a new sleazy trick invented by them that really got me fired up.
"I live in the US and China and divide my time equally between both locations. Last year I purchased an economy ticket from NY to Hong Kong - round trip. When it came time to return I called their office in Hong Kong to change my return date - fully willing to pay the usual $100 penalty for changing the return date. I was informed that I would have to pay a lot more because my ticket was only good for 30 days. When I told the rep that no where was it indicated that my ticket was only good for 30 days I was told it is hidden in the "terms and conditions" section of the on line procedure - the one with a million words in small print which no one I know ever reads.
"After an hour on the phone (I had to call United in the US from China ) I finally reached a supervisor who was able to get me a reduced rate ticket but still had to pay an additional $200. Kind of them. So much for LOYALTY. I have flown millions of miles on United. They treated me like a stranger. Now I will fly the carrier that gives me the best service and rate and loyalty be d---ed.
"Better warn your readers of this shabby new way to fleece the public. It is really a good one. Get you to where you are going and tell you you have to pay more to return.
"P.S. Chinese international airlines are now offering better service to China than United and many with no restrictions such as open returns so you do not have to pay penalties. The inflite service is so much better also." (John D.)
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If you have a rant or a rave, e-mail us at rants@frequentflier.com.
Until next week...
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